Foundations of pseudomarkets: Walrasian equilibria for discrete resources

A-Tier
Journal: Journal of Economic Theory
Year: 2021
Volume: 196
Issue: C

Authors (2)

Miralles, Antonio (not in RePEc) Pycia, Marek (Universität Zürich)

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We study the assignment of discrete resources in a general model encompassing a wide range of applied environments, such as school choice, course allocation, and refugee resettlement. We allow single-unit and general multi-unit demands and any linear constraints. We prove the Second Welfare Theorem for these environments and a strong version of the First Welfare Theorem. In this way, we establish an equivalence between strong efficiency and decentralization through prices in discrete environments. Showing that all strongly efficient outcomes can be implemented through pseudomarkets, we provide a foundation for using pseudomarkets in market design.

Technical Details

RePEc Handle
repec:eee:jetheo:v:196:y:2021:i:c:s0022053121001204
Journal Field
Theory
Author Count
2
Added to Database
2026-01-29